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SK Innovation (096770) Fair Value & Analysis

Energy · KR · Market cap 19.8T KRW (≈ $13.9B) · ISIN KR7096770003

What is SK Innovation really worth?

SI SK Innovation 096770 · KO
Price138,300 KRW
Fair Value91,020 KRW
Upside−34.2%
Quality23/100

Below-average quality, and trading another 52% above our fair value of 91,020 KRW.

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Risks

!Expensive Growth (revenue 5y +18.6 %/yr)
!Loss-making · -2.6% net margin
!Moderate debt · negative free cash flow
!Mixed vs. peers (4/10)
!Narrow moat 24/100
!Evidence only low, so the estimate is less certain
Evidence: Low Range 57,282 KRW – 91,020 KRW

Fair value as of: Sep 3, 2026

From 5 valuation models · updated yesterday

Share price +28.1% over the past month.

What runs behind every stock

69 individual criteria per stock, every one traceable See the method →

What matters now

  • The price sits above even our optimistic bull case (91,020 KRW). The favourable scenario is already priced in.
  • Weak quality (23/100) and above fair value at the same time, the margin of safety is missing on both counts.
  • The large gap to fair value rests on thin data (low evidence): fewer applicable models and a shorter history. Read it with extra caution.

Price vs Fair Value (5 years)

273,700 KRW 81,100 KRW Fair Value 91,020 KRW Apr 2021 Sep 2026

White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Sep 3, 2026.

How to read this chart

60‑month range 81,100 KRW – 273,700 KRW · fair‑value band 57,282 KRW – 91,020 KRW · the 138,300 KRW price screens above the 91,020 KRW fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Sep 3, 2026.

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Analysis

SK Innovation (096770) currently trades at 138,300 KRW, while our model-based Fair Value estimate is 91,020 KRW, implying the stock looks roughly 52.0% overvalued today. The Quality Score stands at 23/100 (below-average quality), in the Energy sector. Bull case: the Multiples group reads highest at a median of 91,731 KRW per share, and 0 of the 4 models we run sit above the 138,300 KRW price. Bear case: the Dividend Discount group reads lowest at 58,478 KRW, and 4 of the 4 models stay below the price. Evidence for this calculation is low.

Over the trailing twelve months, SK Innovation generated revenue of 83.5T KRW at a net margin of −2.6%. Revenue grew 15.2% year over year. It earns a return on equity of −10.5%. Net debt stands at 22.8T KRW. Fundamentals as of Sep 3, 2026

Our scenario range runs from 57,282 KRW (bear case) to 91,020 KRW (bull case); at 138,300 KRW, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 11% below its 52-week high and 53% above its 52-week low, currently above its 200-day average. For context, the median of 10 Energy peers we cover trades at −60% fair-value upside, at −34%, 096770 screens cheaper than that median.

Fair Value models

Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.

Model Bear Bear = the cautious scenario: the same model computed with conservative anchors (lower growth, margins and valuation multiples). Together with Bull it frames a plausible valuation range, not a price target.BaseBull Bull = the optimistic scenario: the same model computed with favourable anchors (higher growth, margins and valuation multiples). Together with Bear it frames a plausible valuation range, not a price target. Evidence
Highest evidence
Gordon GGM 38,968 KRW 67,708 KRW 104,363 KRW 67
DDM Multi-Stage 38,968 KRW 58,478 KRW 81,112 KRW 66
EV/EBITDA 58,881 KRW 91,731 KRW 124,580 KRW 66
All 5 models by family
Dividend Discount
Gordon GGM 38,968 KRW 67,708 KRW 104,363 KRW 67
DDM Multi-Stage 38,968 KRW 58,478 KRW 81,112 KRW 66
Multiples
EV/EBITDA 58,881 KRW 91,731 KRW 124,580 KRW 66
EV/Revenue 5,408 KRW 50
Asset-Based
NCAV (Graham) 64,771 KRW 86,793 KRW 129,542 KRW 54

Widest divergence: Multiples (91,731 KRW) versus Dividend Discount (58,478 KRW). Highest evidence: Gordon GGM (67).

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Key figures & financial health

P/S ratio 0.23 TTM
Dividend yield 3.5%
Net margin −4.2% FY2025
Return on equity −10.5% TTM
Return on assets (EBIT) 2.5% avg 5y
Operating margin 8.6% TTM
More key figures
Growth
Revenue (TTM) 83.5T KRW TTM
Revenue growth (YoY) +15.2% 3y avg +0.9%
EPS growth (YoY) +770%
Balance sheet & cash flow
Free cash flow −3.4T KRW FY2025
Net debt 22.8T KRW FY2025

Figures from reported company fundamentals · as of Sep 3, 2026. TTM = trailing twelve months.

Quality Score breakdown

Overall quality 23/100

Of which business quality 23 · Market factors (momentum, volatility) 45

Profitability 14
Margins and returns on capital today
Quality Growth 61
Are margins and returns improving?
Cashflow 8
Earnings quality: real cash, not paper profit
Fin. Strength 17
Balance sheet, leverage, solvency risk
Investment 58
Disciplined investing over empire-building
Low Volatility 14
Calm price path (market factor)
Momentum 50
Price trend over the last 3–12 months (market factor)
52W Momentum 71
Distance to the 52-week high (market factor)
Net Issuance 0
Buybacks instead of dilution

Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.

All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.

About the company

SK Innovation Co., Ltd., together with its subsidiaries, engages in the development, production, and sale of petroleum, natural gas, petrochemical, lubricants, and base oil products. It operates in six segments: Petroleum and Petrochemicals, Lubricants, Battery and LiBS , E&P, E&S and Others.

Full company description

SK Innovation Co., Ltd., together with its subsidiaries, engages in the development, production, and sale of petroleum, natural gas, petrochemical, lubricants, and base oil products. It operates in six segments: Petroleum and Petrochemicals, Lubricants, Battery and LiBS , E&P, E&S and Others. The company is also involved in insurance, power, district energy, renewable, city gas, LNG, manufacturing, trading, and oil exploration businesses; storage and sale of petroleum products; manufacturing of industrial gas and separator for secondary batteries; operating gas station and sports club; selling asphalt; issuance and redemption of floating securities; evaluation, certification, manufacturing, and selling of lithium battery; collection and disposal of waste batteries; invests in carbon capture and storage, as well as in equity; and installation of electric wire. In addition, it provides business consulting, resource development, information and communication, transporting, and software development services. Further, the company offers energy solution; and operates in hydrogen industry. It operates in South Korea, Asia, Europe, the United States, and internationally. The company was formerly known as SK Energy Co., Ltd. and changed its name to SK Innovation Co., Ltd. in January 2011. SK Innovation Co., Ltd. was founded in 1962 and is headquartered in Seoul, South Korea.

Company description, as reported by the company or data provider.

Revenue & earnings trend

FY2021 – FY2025 · reported fiscal years

SK Innovation reported revenue of 80.3T KRW in FY2025 versus 46.8T KRW in FY2021, a compound +14.4%/yr. Reported net income was −3.3T KRW in FY2025.

Growth Quality 44/100
The company is growing, but growth may require heavy reinvestment or weak cash conversion.
Latest Revenue (FY 2025)
80.3T KRW
Latest YoY
+8.1%
Avg. revenue growth/yr (3Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+0.9%
Avg. revenue growth/yr (5Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+18.6%
Avg. revenue growth/yr (18Y) Measures the company's TOTAL revenue from reported annual statements: compound average growth per year (CAGR) from the fiscal year 3, 5 or N years back to the most recent comparable fiscal year. Not per share: buybacks do not change this number, and a merger can appear as a growth jump.
+7.9%
Value creation/yr We only publish this rate when it is defensible. Reason: fiscal 2025 is a loss year, no rate is defined from a loss
not computed
Revenue +14.4%/yr
FY21 46.8T KRW
FY22 78.1T KRW
FY23 77.3T KRW
FY24 74.3T KRW
FY25 80.3T KRW
Net income
FY21 305B KRW
FY22 1.6T KRW
FY23 256B KRW
FY24 −2.3T KRW
FY25 −3.3T KRW

096770 screens 52% overvalued. Compare with Reliance Industries Limited →

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Cite: Fair Value Calculator (2026). "SK Innovation Fair Value". https://www.fairvalue-calculator.com/stock/096770

Peer Group

Oil & Gas Refining & Marketing · 109 stocks

How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.

Quality Score 23 · Bottom 25%
Fair Value upside −34% · Below median
Return on assets 1% · Bottom 25%
Net margin (TTM) −3% · Bottom 25%
Operating margin (TTM) 9% · Above median
Revenue growth 15% · Above median
Dividend yield (TTM) 3.5% · Above median
Debt / equity 1.05× · Higher than 75% of peers

Valuation Multiples vs Oil & Gas Refining & Marketing median · lower = cheaper

EV/EBITDA 1.3× · Cheaper than 75% of peers

Strength profile in five axes (Snowflake)

Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.

VALUEFUTUREPASTHEALTHDIVIDEND
This stock
VALUEFUTUREPASTHEALTHDIVIDEND
Sector peers
VALUE0 · sector 13
FUTURE76 · sector 15
PAST0 · sector 33
HEALTH48 · sector 83
DIVIDEND70 · sector 55

VALUE 0: the price sits above our fair-value range.

Values & ESG

Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.

Oil & gas

Similar stocks

10 more Oil & Gas Refining & Marketing stocks, each showing price versus our Fair Value estimate (as of Sep 3, 2026).

Stock Price Fair Value vs Fair Value
Reliance Industries Limited RELIANCE ₹1,314 ₹835.66 −36%
Valero Energy Corporation VLO $352.36 $127.32 −64%
Marathon Petroleum Corporation MPC $368.83 $133.18 −64%
Phillips 66 PSX $246.58 $99.41 −60%
Neste Oyj NESTE €31.28 €3.83 −88%
Formosa Petrochemical Corporation 6505 75.80 TWD 15.32 TWD −80%
HF Sinclair Corporation DINO $87.93 $44.96 −49%
Bharat Petroleum Corporation BPCL ₹318.00 ₹846.81 +166%
Sunoco LP, SUN $75.55 $53.36 −29%
S-Oil Corporation 010950 140,900 KRW 19,441 KRW −86%

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Frequently asked questions

Is SK Innovation (096770) overvalued or undervalued?
As of Sep 3, 2026, our model estimates a fair value of 91,020 KRW versus a price of 138,300 KRW, about −34% upside (overvalued).
What is the fair value of 096770?
Our model-based fair value for SK Innovation is 91,020 KRW (as of Sep 3, 2026), built from audited fundamentals. The current price: 138,300 KRW.
What is the quality score of 096770?
SK Innovation has a Quality Score of 23/100. It measures business quality (profitability, growth, cash flow, balance-sheet strength, investment discipline, share issuance). Market factors such as price momentum and volatility do not enter the number; they are shown separately in the detail view.
What is the revenue of SK Innovation (096770)?
SK Innovation reported trailing-twelve-month revenue of about 83.5T KRW (latest available figure, as of Sep 3, 2026).
What is the net profit margin of 096770?
The net profit margin of SK Innovation is about −2.6%, meaning it is currently running at a net loss. Based on the latest reported figures.
Does SK Innovation pay a dividend?
SK Innovation currently shows a dividend yield of about 3.49% relative to its recent price (as of Sep 3, 2026).
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